Skip to main content
1:00 am
>> russia justifies its presence in crimea. moscow says it's response from ukraine's ousted resident amidst -- ousted president amidst threats from extremists. >> carmakers in europe hope to which there market slump in the rearview mirror as they head to the geneva auto show. go?here are you going to we are live in berlin with top hotel executives at the international hotel investment forum. russia justifies its presence in crimea.
1:01 am
welcome to "countdown." >> it is 6:00 in london, tuesday morning. bloomberg reporters are standing by across the world ready to deliver the stories that will start the -- that will drive your day. we are on the ground that the geneva motor show. try to keep it from spiraling into war. carmakers in your hope to put their slump in the past. we have an all-star lineup. berlin with top executives of the international hotel. you today sees a flurry of diplomatic activity in ukraine. russia continues its military buildup in crimea. john kerry visits the capital. and the imf begins its mission. ukraine will get $3 billion in financing. the iv -- the imf will be meeting with the economy minister tomorrow. >> welcome to "countdown". i am anna edwards. and i am mark barton. we are following the latest developments in ukraine. in berlin, david tweed is live at the international hotel.
1:02 am
how the chaotic situation in ukraine had change the countries needs? bad. is pretty >> the imf said it would like it raised by 30%. do you think that right now in breakingstart with news. we are getting information from the biggest the trading supplier. that is coming through just now. >> just getting the headline number. no we are not. the we are getting the earnings. and the big news last year was the glastonbury completed this environment, it is little bit radical? the prime minister said it was super flexible. >> in the presence of russian troops in ukraine, what kind of nickel mines to their empire. amortization up by 17%. 13 point $1 billion. that is the headline figure. they announced in december that that the transaction is expected to generate cost savings as much as $2 billion this year.
1:03 am
strain does that put on [inaudible] the level of uncertainty is all around the country. the conditions are pretty nervous. -- nowsday of last week, with the presence of russian more money? >> i do not think we need more it will be interesting to see if that figure changes. the headline profitability figure out. $13.1 billion. russia continues the military buildup in the crimea peninsula. the u.s. secretary of state visits. bloomberg news learned that the ukraine will get $3 billion in financing as part of a new program. money. >> the prime minister said some money would be diverted to the military. underfinanced for a long time in the past. they will be meeting with the economy minister tomorrow. we said down with the minister. started by asking how the chaotic situation in ukraine had changed the country' needs. >> the state of the economy and the state of the budget is different. >> it will be the same. hopefully, the criteria will be different. they've said in the past they would like it raised by 30%.
1:04 am
the basic expenses should be covered by the ukrainian state. and then there is the gap. if we repay all of the debt it is ad for this year, geo -- from what i hear from the --ld, from what i hear from >> we need to look at that. >> do you think in that environment that is a little bit radical? >> cutting the budget that is another thing we would like to do. >> it is super flexible. >> it is. >> people are talking about this increasing the impetus and the -- it strengthens your hand with the imf. we did not invite any type of troops to help us. s is thesense i we need to create a little more certainty for the business. there are russian troops in the ukraine. what kind of additional train does that -- strain does that put on this? >> there is a level of uncertainty all around the country. the conditions are pretty nervous. thursday of last week you could thought you could do x.
1:05 am
international community is more prepared to help before they were for russian troops arrived. >> i did not see the delegation yet. it looks like we will see them tomorrow. let's cross over to ryan. we know the imf is in town. what else is on the agenda today ? >> as far as the russian military is concerned, the frankly, i do not think we need more money because of russian troops. i think this is the ukrainian business. this is not their business. >> they said that the money is being diverted to the military. >> that is true. the military was under finance for a long time in the budget. buildup is gathering speed. we had more troops rolling into crimea overnight. russia has 16,000 troops on the peninsula. seething we did not materialize, the ukrainians told us the russians were demanding two ukrainian vessel surrendered. they had been given an ultimatum. the ukrainians did not surrender and there was no military action. if we will turn to the asernational community financing for the army, then what is this all about. then there is a gap. the gap is that we know our debt obligations. we also know the reserves that it was left virtually with zero. it i a geopolitical problem.
1:06 am
clearly, the buildup continues. >> the united nations met in new york. what the pressure have to say? >> it was all about did russiaon -- what have to say? >> it was all about justification. ambassador to the united nations showed everyone a letter to that effect from the ousted from russia,ear the world says, yes, and this is a problem. >> people are talking about this increasing the impotence and the need for credit. it, in a way, strengthens your hand. >> we wish that will happen. president. friday, you may remember he gave a press conference in russia where he was asked whether he was calling on president cl putin to intervene and he said no. they doians also said have the right to have as many as 25,000 troops on the peninsula. need any hint of troops to help us negotiate. >> but your senses that the international community is more prepared to help than they were before russian troops arrived. i do not see the delegation yet. i will see that tomorrow. i will judge then. let's get over to ryan who is in kiev.
1:07 am
we could see that number of troops rise further. >> thank you. ferro.s turn to jonathan he is here to cover the market reaction. >> let's start with russia because markets are opening right now, erased almost half the losses of yesterday. selloff pretty brutal yesterday, down by almost 10%. what is on the agenda? >> secretary of state john kerry arrived. they are right now, in fact. the biggest news was the news that came one hour away. president putin ordering troops in the west of russia back to their barracks. did some putin military exercises yesterday. we saw video of him out those exercises. out.illion wiped yesterday will have hurt them and that is pretty significant. they got hit pretty bad. the ruble is down about one percent. at the the reserves left central bank at about $150 billion. that is quite a burn rate. those exercises ended after the russian president visited him. the fact it he ordered the troops back to the barracks is a formality. that is not what investors doubt. are thinking of the troops being ordered back to barracks were troops in crimea. ed is not the case. ukraine says that russia still has 16,000 troops in crimea and peninsula.
1:08 am
the tide against them is pretty strong. a lot of focus on russian markets right now, but the economy has been weakening for a while. you had growth around five percent a couple of years ago and it is down to about one percent right now. >> it is a difficult one because they want to protect their currency. u.s. state department says they are working on sanctions in response to what russia has been doing. more are arriving overnight. it shows you how sensitive the story is and how sensitive the markets are to what is happening in ukraine. >> thank you. we will check you later. >> looking at the market reaction to those events in ukraine. head -- nail on the head. if you press rewind it, you get a visual on how things are playing out. a --or he percent after is europe's ability to agree to any type of sanctions limited by the trade realities? gas.ey import a third of it is spring. we are coming off the back of one of the mildest winters since 2007. bustamante to heat your home in europe. manyther is stop files -- back three percent after drop. yesterday were fighting with what was really escalation risk, political risk, and the need to discount. when that happens, the following day we see equities come back again. , things cane that stay choppy for well. >> there's a lot of focus on
1:09 am
analysts say this escalated political risk may cause investors to boycott russia and perhaps that is the ultimate sanction. >> theatre fourth motor show in geneva kicks off today. the fourth motor show in geneva kicks off today. what this does to energy prices. the european diplomatic response may be clouded or affected by europe's reliance on russia. >> this is not the first time we have seen a lack of international coordination. if you're going to have serious consequences it is worth thinking through what they are beforehand. you have not done the ee you or the united states on board. 12 months ago, this industry still felt like it was on its knees. a glimmer of hope emerging. we have seen the data start to turn around. europeans are buying cars again. we have not seen them for quite some time. the industry will be keeping a careful eye on the situation in russia. gets a third from russia. how much leverage do they have? there are two points of leverage. inventory is one of them. european stockpiles are half-full. them 45 days if the
1:10 am
, soe is some exposure they'll be watching for anything that could upset the apple cart. -- they certainly hope that is not the case. the big question will be, is this recovery self-sustaining? will we see this continuing on an organic level? or is it being generated by government subsidies? we know the data has been driven by cash for clunkers program european supplies were interrupted. this is a fast-moving story. it would be hard to commit to a direct and in the market just yet. >> geneva kicks off today. optimistic about 2014, as the european car market shows signs of recovery. >> good morning. should geneva motor show revving its. the sound systems are being cranked up here in over to my coming out of spain. another program starts -- will that demand continue? or have we been borrowing forward? plenty of new cars to unveil. went to of things to talk about. technology is front and center here at the geneva motor show. this resembles something more of left, they are in the process of unveiling a new product. the brand is back. it is a bit like a cs500. in 20 minutes time we will have a toyota. let's see what it says about the emerging markets and what the story is there. everybody's hoping the recovery continues. we have been hearing from ryan pileshn, there are a few
1:11 am
ces. are we going to be talking about, i am driving and android car? that is something we will look forward to in the future. the financing story is there well. one of the success stories of the european space has been the u.k. market. financing packages available in the u.k. that are not available elsewhere. rollean carmaker start to those programs out, without help demand? on the horizon. the russian situation is something at the car market is exposed to. the the luxury market to mass-market producer, they have skin in the game when it comes to situation in the ukraine. we will be talking to the ceos throughout the morning about that. the key thing about the recovery is that europeans are beginning to buy cars again. but it is for a very low base. , or is it-sustaining willll that help demand? be talking about the green agenda. making their cars go further on must and making the cars cost less, that continues to be a big story. the numbers are starting to get that her, but car companies are still struggling. better, but car companies are still struggling. ryan was talking about russia. something that is being driven, to excuse the pun, by government programs? that is what we have been seeing in spain, for instance. then there's a story about finance that is doing the rounds. the u.k. had good financing packages. that is why it is one of the outliers. britain has been buying cars. had good financing packages. they started to roll those out across the continent.
1:12 am
i will be talking about cars. we have some great cars that will be out later on today. ofll be talking to the ceo rolls-royce. we will give you the first look at this. this is the new ghost from rolls-royce. >> looking forward to it. live from the geneva motor show. >> i was wondering what was under the sheet. toare going to be speaking ford coo mark fields. we will get his take. this is one of the world's biggest carmakers. it has exposure to all of the stories. in the future, will we be driving and android car or an apple car. that the motor show buzzing. should we be a geneva or at the technology fair? that is the story moving forward from here. more coming up. stay with bloomberg for some really big interviews. he'll be back in 10 minutes speaking to the head of rolls-royce. just after this next break. later in the hour, we'll be speaking to the ceo of jaguar. >> the tourism industry accounts for over 250 million jobs globally. investmentometer for i'll handed back to you. >> thank you. live in geneva. >> let's move on to the tourism industry. they count for 250 million jobs. it is a driver and barometer for investors. them toeed is follow their gathering at the international hotel in berlin where the heads of the hotel industry get together once a year. david, what do you have lined up for us?
1:13 am
and economic growth. david tweed is live in berlin where the heads of the global industry get together once a year. the world tourism report says the international tourism industry should expand by about four percent this year. that was before vladimir putin >> look, coming up after the break, i have an interview with sebastian. he is the chief executive. russianasking about the business. their business in eastern europe. after that, i will be speaking with the european chief executive officer of european continental group. they are expanding into russia. how is the situation in russia likely to affect the comeback, after the break? >> joining us from berlin. moved troops into crimea. i will be talking about -- for theto the ceo intercontinental group. both of these groups with operations in russia. but will be the effect of their businesses? and potential trade sanctions and the slowing down of the russian economy. as well as that, i'll be back with someone from brazil. >> we will talk about mining next. $3.67 dollars for the full year last year. we will dig into those numbers.
1:14 am
someone from the brazilian tourism industry that will talk to us about development and investment in brazil, how to convert the world cup in two longer-term sustained tourism in brazil. is he ready or is brazil ready to host the world cup? day, we will the be speaking to the guy behind studio 54. hotels.into boutique he will get a lifetime achievement award here. >> thank you, david. thee will head back to geneva motor show and speak to the head of rolls-royce. stay with us. ♪
1:15 am
1:16 am
>> welcome to "countdown". >> i am anna edwards. >> and i am mark barton. let's head to the international hotel investment forum. an exclusive interview for us. david? >> i have, indeed.
1:17 am
one of the things that people are talking about is the recovery in tourism. 45% is what the world tourist report as forecasting. that was before vladimir putin put troops into crimea. i have sebastian, the chief executive officer of 14 hotels in russia. >> 20 now. >> 20 now. you also have a hotel in kiev click the geneva motor show is a collection of the latest and greatest from the world's top automakers. guy johnson is standing by with the ceo of rolls-royce. >> thank you very much. it is a big morning for rolls-royce. this car company is about to and property in eastern europe. i am wondering, given the situation, how are you dealing with this? >> i am a spectator, like all of you. we have been in russia for the past 25 years. we have 20 hotels. you're going to be operating 30 hotels over the next two years to four years. that means we're going to go next fewo 50 in the years. this has been through a lot of up and down. i will be there myself.
1:18 am
unveil a new car to the world. you will see it first here on bloomberg. let me introduce the ceo of the company. good morning to you. unveil herew car to at the geneva motor show. what is it? >> it is the ghost series. it has been the backbone of our growth story. i will be discussing this with my team. strategic reasons, we will remain in russia. the unions, they are talking about sanctions. the sanctions are unlikely to affect the hotel business, one would think, at this stage. what is your assessment of the effect on your business? >> i will be candid. the ceo for the last it is a very important moment. after five years in the market, very stable life cycle, we have decided it is time to refresh the car. moment. get to that let's unveil the new ghost. here on bloomberg television, the first look at this car. fantastic. that is the first look. six months. i have enough to do in terms of getting the team in place. i will let the politicians decide what to do at that. listener.a good but, clearly, this is not my agenda. >> you mentioned you're planning to open 30 hotels in russia. are any of them coming up? are you going to put any on hold, at the moment? >> this is an going on for the past four days or five days.
1:19 am
talk to me about what your aspirations, ambitions are for this car. for thecar is discerning businessmen in the world. it is the ultimate. positioned we have the car. it is the best you can drive in. we have some aspirations with this car. if it proves to be over the next i willgo myself and spend all the time necessary to make a rational decision. i just cannot make a decision over the last 32 hours. >> i'm interested in what is going on in china. right across the board we are hearing it. not just luxury. they are saying that even funeral homes are having difficulty because of the measures being introduced. are you seeing the austerity measures having an increasing years in terms of growth. >> let's change years and talk of little bit about what is happening in russia. you have some exposure. russians like a rolls-royce as much as anybody else. presumably, you are keeping a careful eye on the situation. are you concerned? the situation is sorted in a peaceful way. yes, we are looking at it. impact on your business? in terms of political constraint, not too bad. they do in some ways. china is like russia, like america. they're very strategic. our brands to be visible to the russians and chinese. we have been for 55 years in china. we are going to remain. we will do everything we can to adjust to the economy. is anything that might have
1:20 am
russia is a substantial market. reasons,for business that we are interested that the whole thing comes to a peaceful end. locks you are single -- >> you are seeing a lot of currency volatility. if that's something you can manage at a group level? >> we are the bmw group. we are not too much worried. any impact on 2014? >> there's a big impact on china. the local actors have been very efficient, locally. we just have to take a cold shower and understand that locals may do things faster, maybe better than us, so why don't we work with them, as opposed to compete with them? one of these great advantages to be part of a bigger group. >> talk to me about where rolls-royce goes from here. one of the thing a driver expects if the service. i presume most of your cars are delivered in a the spoke way. always looking into new the chinese market has been evolving for the last five years. >> when you came in as chief , you made a accor decision to split the business. did that surprise a lot of people in the market who were expecting you to sell some of your property? why did you do that? >> for the last 40 years i have been conducting to businesses without looking at the
1:21 am
technologies, what we can do to up customers. it is an interesting subject, and we are due looking into it. the time might come where we do spare parts in 3-d printing. even quicker to help our customers in the world. >> when you look at taking the business forward from here and you look at who you are competing with, it makes me think, you are not competing with other car companies, you differences. investor, you have to look at the cost of the dollar, and look at how to get the risk remunerated. it is identifying the two businesses and making sure people have the skill set. .or me, there is immense value let's make sure we can prove the market. a new journey for the team. are competing with forms of transport at the upper end. how do you come up to us -- with a solution? not -- i would say we are in the high-end luxury goods business. for that reason, you need to treat your customers in a different way. one of our major recipes for customers inviting into our plant where we built it is going to be there for the long run. >> the market gets it. >> they do now. we had a lot of recovery. the share prices much more than what it was when i announced. hours inough 48 november and december. since then, it has been good. it is a matter of spending the time with people and explaining to them that i'm going through a five-year to 10 year journey here.
1:22 am
these marvelous cars. once you have seen our engineers , you are completely blown away and convinced. >> that brings me to my final question. your customers spend a lot of time with you. they spend a lot of time thinking about the cars they're going to buy. how do you take that forward? are you fully leveraging that >> what are the investments over the next three years? which regions? >> we're going to open 750 hotels. 25% of them are in latin america. 10% are in the middle east and africa. europe is a great market for us. europe is a market where we are expending less. >> what is your aim? whenever wes that relationship as much as you can? >> it is a very special moment when you specialize -- customize a rolls-royce. it is great to spend half a day with us to do it together with the engineers and designers. as always in, life, you can improve. for that reason, we are looking into additional opportunities to meet our customers. are the leading player, let's remain and increase the leadership, seriously. we will still expand. in europe in five years from today will still be 55% to 65%. europe is a key market in which we have an enormous market share. we are going to defend those. >> thank you very much, indeed. it will be very much interesting
1:23 am
ideas and getge their perspective about what is happening in the car industry, their expectations about rolls-royce. we keep that close relationship. basically, the whole organization knows every customer. >> thank you very much indeed. the ceo of rolls-royce. unveiled hereii right on your program. watching what you're doing. >> speaking with the ceo of accor. >> for your results that just missed estimates in london. we'll be back after a short break. its first annual loss since the foundation of the federal republic of germany. after a slump in electricity prices forced billions of euros in write-downs. ♪
1:24 am
1:25 am
>> welcome back to countdown.
1:26 am
>> citigroup joins jpmorgan chase with aorgan i am anna edwards. >> and i am mark barton. numbers that missed estimates. they are here to tell us a story. did miss. sales missed, actually by more than $10 billion. the actual net income for 2013 $3.67. coalis a company raising production, raising copper decline in revenue. trading results have been hurt by a slowdown down in the fixed income business. reports on march 15. the australian prime minister has ruled out guaranteeing that the qantas air lanes -- qantas airlines. last week the airline announced 5000 job cuts and the delay of sale of 15 aircraft. production. they're going in a different direction. contrarian? is that the right way to describe it? over and took it back to the family. that is been done to that end. they are saying they're going to get more costs, more synergies, and that is what the market is -- heto want to hear good
1:27 am
we will take a short break and we'll be back with further coverage of the car and the hotel industry. ♪ here. ear. >> a steep downward projector he. >> the benefits are being felt by the ceo. >> a man with every pocket. that is all i can say. heavier pockets than mine. he owns eight percent of the coming. his bonus for 2013 comes out at $173 million. $182 million for laster. >> thank you very much. and to with intercontinental of europa tv executive -- chief executive when we come back. ♪
1:28 am
1:29 am
1:30 am
>> russia justified its intervention in crimea as legitimate response to a request from the ukraine's ousted president. he wrote to vladimir putin requesting a military deployment. russia's ambassador read the at emergency security council meeting. europe has about 45 days of gas storage to cover any disruption inflows from ukraine. u.k. gas prices jumped the most since 2011 yesterday. >> i am mark barton in london.
1:31 am
on concern the tensions between ukraine and russia may disrupt supply. japan's wages increased for the first time in two years in january. companies boost pay for part timers. the prime minister urged companies to raise wages. higher pay is key to bolstering consumption and driving growth. welcome back. germany's biggest power rambutan has asked some of the troops to return to their bases. --vladimir putin has asked some of the troops to return to their bases. below, secretary of state john kerry is having some meetings in russia. is a bad proposition for russia. company rwe reported its first annual loss in more than 60 years. that fall use billions of euros in write-downs as power prices slump. -- that follows billions of euros in write-downs as power prices slump. >> the first loss in 60 years, since german unification. we knew that rwe had a ready taken -- we know they're having now is the time for them to consider whether they can serve their interests in a way that resorts to diplomacy, as opposed to force. >> europe has about 45 days of gas storage to cover any disruption that flows from ukraine. we have boosted stockpiles. there is concern and tensions between ukraine and russia may disrupt supply.
1:32 am
to take the financial pain up front. i told us about that number a little while ago. slap at theone big end of 2013 so they can move on, stay can recalibrate this company. a couple of other nuances in terms of savings programs. they are a year ahead of that. loss, 2.7eat big increase for the first time in two years in january. fore was a boost of pay part timers. and they urged companies to raise wages, saying that higher to bolstering production and driving growth. hello, welcome to countdown. billion euros. that is down from a profit of 1.31. it is called the recurrent income. they are still sticking to their guidance and this is important. you might not see them call the bottom of their earnings. they're still there, and they are still steadfast in the guidance. we will pay between 40 and 50% of our income in 2014. i am mark barton. >> i am an edwards. the international investment forum in berlin is where we go next. >> i have a couple of bits of news to break, as well, from intercontinental hotel. i the chief executive officer intercontinental hotels europe. let's start with the news you have to break for us.
1:33 am
that is good if you are a shareholder. the savings plan is on track. we have more capacity. makeg to work out how to sense of this. to me it looks as if they will take off-line more than 50% additional. i could bore you with megawatts, but that is the kind of percentage. 50% more capacity out of the what is happening? >> first of all, it is fantastic to be here with you. to ber you to allow us part of the 200 hotel. 1.5 million people at the hotel. it is going to be where you want to go when you get to the city. we are thrilled. >> you're going to be signing another deal in moscow. system than what they had already told us. >> the whole german landscape is changing a lot in terms of where they get their energy. >> they want to get linn energy or renewal -- green energy or renewable energy, up to 45% of production. that shows you the evolution of change. you are seeing prices, prices have been under pressure all just a little more about that. it is coming at a sensitive time. >> we just signed the holiday inn express. that is the second largest airport in moscow. it it will be right outside of cc and d.b or it will be a wonderful hotel for our customers to stay up. >> it is the part of the rush --
1:34 am
year. prices have been dropping by about 15%. that cuts profitability by up to 30%. >> the whole gamut of gas and energy markets reacting to the ukraine situation. indexsia's benchmark jumped the most since september 2012. push into russia. can you give us an idea of the market strategy? >> we have a key market strategy which is the u.k., terminate, and russia. the have a significant growth strategy for russia where we want to have 100 hotels by 2020. we are well on our way to that right now. 100 hotels by 2020. what is the current hotel number? >> 90. investment.cant that is after dropping 11% yesterday. head ofoined by emerging market strategy. thank you for joining us. we are in volatile times. the sizable declines, a slight rebound today, how would you expect emerging market assets to fair in the coming days and weeks? is the appetite how much money are you going to put in? >> we have significant partners in russia. we are on our way to signing. we have and he is an art opening hotels on strike -- track. themis is in the midst of putting into troops in crimea. at this is the biggest security risk for eastern europe since the end of the cold war. how are your interests looking
1:35 am
towards emerging markets have been improving quite considerably since the days of pathetic -- since the days of panic. right now, everybody is watching the ukraine crisis and we need to find out how this crisis is going to -- before we can be more comfortable. very much a russian in russia at the moment? >> it is a serious situation for us. the single most important thing is the safety of our employees and our guests. in fact, when the news broke, i called the manager at the intercontinental in kiev. we will continue to monitor the situation. >> at what stage do you have to make a decision about putting any of your plan investments on ice with regard to what happens story? remember the days of the syria crisis last year, it did create quite a bit of trouble for emerging markets and for global markets for a few weeks over the summer. that has the magnitude of being reproduced here. we have to watch it. >> has the russian central bank -- it shifted the court or -- with the european union and the united states, both of which are talking about trade sanctions? >> we will make those decisions when necessary. right now, the focus is to grow in our key markets. the u.k., germany, and russia. and we are on track crude -- track. >> you talk about the u.k., is there an russia, end to the european debt crisis? what has happened since you've been chief executive for europe?
1:36 am
corridor? is there a floor under the ruble loris there further to go? >> -- the ruble or is there further to go? >> it depends how this crisis evolves. that will probably not be enough. that is not necessarily a floor, but i would call it a moving >> a lot has changed. most important, last year was a very solid year for us in europe. all three markets, along with the key city strategy sits very well rated the most important that we saw is groups moving in the right direction. >> was a business or tourism? >> it was a general, overall optimism. the gdp for 2014 looks like it is going up. target. the ruble is at risk. >> how much should russia be prepared to spend in propping up its currency? russian reserves down $40 billion since last may. when does it start to not look like a good idea? means. have the they are in good shape. russia is not turkey. unemployment rates are in a good place. the overall sentiment in the market is looking good. it is going in the right direction. >> what segments are using that reflected in? >> almost all. leisure?ure in lu . -- leisure. >> there is the rise of the new
1:37 am
turkey had to raise the interest rates aggressively because they cannot not afford intervening, but russia can. we are talking about several , 10 million a clip, and that would send a strong message. >> does that mean we do not need to see any more interest rate hikes from the russians? >> i would favor direct intervention then interest-rate booking system. that air b&b and other technologies are having him back on your business? >> our focus is to make sure the people will direct a bus. that is the single most important thing for us right now. and making sure that we have great brands that deliver great experiences and continued to strengthen our brands in the guests mines. that continues to allow us to hikes. you can afford directly intervening in the market. , go longo you suggest on the dollar? against emerging market assets? -- >> we haveo be to be tactically defensive on emerging markets. we are facing a highly volatile time. i'm going to use the proxy in those cases, they work better as get direct bookings. that is really the focus. getting them to love our brand and stay with us, and choose us. ofyou're not seeing any part your business being damaged by this technology? >> not at all. technology can only help us. people want to use different mediums to get you. our job is to make sure that we have clearly differentiated in daily named -- delineated brands.
1:38 am
a hedge than the real thing. it is at risk if we go into this escalation scenario. toit is used by investors express a view for the region as a whole. all six of the nine brands that we have are in london alone. that tells you that our brands are clear and guests want to stay with us. >> we heard you are selling real estate. what are your plans? >> i can't talk about that right now. , theis a fantastic hotel intercontinental hotel in paris. it had a record year last year. that is a bit of an ecstatic trade, but it works really well. >> -- exotic trade him a but it works really well? >> what does romania have that poland doesn't? >> it is less vulnerable to swings in investor sentiment. romania is more defensive than poland. i would assume shorting against they are off to a fantastic start. indeedk you very much for coming to talk to us. it looks as if the hotel business in the fourth quarter is a cam. one wonders is it going to be sustained with the tensions from russia and ukraine? only time will tell. back to you in the studio. >> just ahead, we'll head back to geneva for a conversation with 40 coo mark fields. ♪
1:39 am
the euro will work just as well. >> the russian stock market does look ready cheap compared to other emerging markets. 4.7 times estimated earnings, which is below india, brazil. in andhould you get an m buy? the russian stock market has been cheap for a very long time, so i do not see that -- >> do you think russian outflows will continue? it is a big risk. it will be driven by geopolitics. >> to buy for joining us today. >> -- thank you for joining us today. >> we will head back to the geneva motor show. ♪
1:40 am
1:41 am
>> it is time for hotshots, a look at some of the most compelling images for the day.
1:42 am
♪ the track cycling world championships were in columbia this weekend. they beat germany in the men's sprint final. they had victory by just a will. had a hat trick in the men's sprint. this is not your average food fight. a small town ordered 255,000 >> time for today's company news. reported its first loss in oranges from sicily for the three-day carnival. the battle of the oranges is the carnivals main event. it does not look like any of the participants are slacking off. one orange throwers had that here getting a black eye is like al.ting a metal -- med the air race championships are underway.
1:43 am
more than 60 years. the current net income was down by six percent. looking to sell assets in an effort to cut costs. the norwegian energy company says it has no timeline or fixed goal for the sale. they plan to cut spending by eight percent. samsung will make a $3 million donation to two charities picked by ellen degeneres. they push their airplanes to the edge in part one of and a part city tour. piloted to weave between and above thest 25 meters water at 370 kilometers per hour. the winner from last year successfully defended his title. i can see you participating in that one. welcome to countdown. i am an edwards. -- an edwards. it is a thank you for her in show selfie. it was shot with a samsung galaxy. >> welcome back to countdown. the world's top automakers are in geneva for the motor show . they are showing off their newest designs. let's head to guy johnson who was on the ground. anna edwards. >> they signal that the region equities will bounce back from a big loss. investors are watching the standoff in ukraine with overall sentiment that says markets are up eased somewhat good futures gained. we have a stock mover.
1:44 am
>> thank you very much. the engines are humming at the geneva motor show. we are warming up. let's talk to our second guest of the morning. the -- thet of numbers have held that group up. what this 2014 have an prospect? the carmaker is unveiling a series of new cars. rwe may be active. another one to watch out for is swiss money manager. it had a four-year profit. holding his wand watch. >> oil rose yesterday. yes. let's talk to the company ceo. he has a small cold. you.morning, nice to see i hope you are feeling a little bit better than you sound. you are unveiling a whole series of cars. we have new jaguars, new land rovers. what will that mean for the bottom line? >> we are really proud. a little brown all the stocks today. there was speculation and supply concerns were overdone yesterday. live a great number of exclusives, saying that this is the mildest weather since 2007. there's enough to cover future disruptions in europe. >> seven weeks? >> 45 days. >> there you go. on the move in 17 minutes. anna? let's get to the things you
1:45 am
whenever we come to a show, we want to unveil something new. in geneva, we will show five different new vehicles and show you a completely new [inaudible] >> talk to me about what that will mean in terms of sales. or your predictions for 2014? you have been delivering a fairly decent set of numbers. can you continue to do that? >> 2013 was a good and solid year for us. need to be aware of ahead of the trading day. one is market reaction to the ukraine development, and the trading around russian assets. thet was seeping out across board yesterday. we are expecting a rebound. that is what we're seeing in futures. futures pointed higher. ended in western russia. it removed some of the escalation risks. it exercises and is on schedule. volume up by 19%. this year, we are cautiously optimistic that we can continue to grow. we do not want to speculate what is going on at the moment in russia and ukraine. >> it has been a big driver. how significant is russia? it gives is a very good sales perhaps it doesn't take them much escalation risk away. perception is everything right now. you see the markets turning around. it is rather like yesterday in reverse right now. >> there's a lack of clarity on the ground as to what is happening. it is one step beyond what is happening on the ground. we get some interesting comments. just like every business, really, trying to work out whether what is happening in ukraine is material to the business. they're saying that ukraine
1:46 am
footprint. russia is an important market, but we are not heavily exposed. >> what about china? >> china is one of our major markets, it is taking over the european union. signs of a slow, without impact to you? >> china will manage the issues. the gdb growth of around seven they say that great export businesses are functioning. ukraine will if offer arbitrage opportunities there. on the markets will be looking at that. we have a busy macro agenda. >> really busy. should get a gdp target out of this. that will be interesting. everyone is expecting north of seven percent. you have the bank of england on thursday. ofeight percent, the biggest the emerging markets. we have enough room to grow in china. worked for rolls-royce, i could send that out to bmw. >> we have to take care of our own. yes, we are exposed. let's talk to me about the marketplace. suvs are your bread and butter. we are not expecting anything from there. it could be very interesting. we have a stronger than expected cpi number. a lot of people spiking nothing from the ecb. people are looking at what they could or might not do. and friday is payroll. 6% for 2016.t 1.
1:47 am
it is nice bread and nice butter, but competition will get fiercer. .verybody is launching an suv piet going to be a bigger or a smaller slice for everybody going forward? >> we see an expansion of some markets. show we at land rover on thursday, that i will buy you a pretzel. that is very good. >> just ahead, we had back to the geneva motor show for conversational afford -- 40 coo, mark fields. ♪ have the technology. technology is going to be an increasing part of every single car that is made. everything the car does. can you see a situation or i am driving a range rover android or ? jaguar ios apple car
1:48 am
is it going to come to that? tech companies are becoming car companies and car companies are becoming tech top pennies. electronic architect -- are becoming tech companies. you will drive not only a solution, youever will have the opportunity to drive all of these kind of features in one car because the manufacturer will not decide which kind of device the customer will have. >> you do not need to nail at this point in terms of which company to go with. >> we are open to everybody. >> when you think about cars moving forward, the driver experience is very important, but there will become, time very
1:49 am
shortly, google is developing autonomous driving systems. to yours that do relationship with the customer? >> the relationship with the customer will become even better. it will give us a totally new degree of freedom. it will make sure and autonomous and give ake care new social network. and we wille over have the new freedom. >> the elderly population will not be driving the car behind you? -- that ise debut special high-performance. it is fabulous to drive.
1:50 am
>> the driving experience is still important. thank you very much. rover. of jaguar land some great guests coming up throughout the morning. guy.feel for he is not actually getting behind the wheel of anything. >> the oscars are over. >> welcome back to countdown. barton.rk wards.m anna ed o righton with ford co now. anna, thank you very much, indeed. the new focus is being unveiled at the geneva motor show. more on the newspapers, coming in next. ♪ what is that going to mean for the bottom line in europe and the recovery taking place? let's find out. thank you very much, indeed, for inviting us in. the recovery in europe is starting to gain a little bit of traction. their early days were feeling weak. on an organicble level. is it going to need subsidies? >> it is great to come to the
1:51 am
geneva show and talk about the market growing. that is a big difference. when you look at the elements driving the recovery, you look at things like consumer confidence, sentiment surveys, what is happening with gp in the various countries. we think there's a real organic recovery here, that we can debate how strong it is going to be. i think it is organic overtime. we expect the industry to grow this year, modestly grade -- modestly. ,> as you roll the new car out it changes the dynamic of ford's piece of the pie. how much of a difference will it make? >> it is the number one around the world. we are using the show to make it better. it is fitting that we do it in geneva. we introduced it 13 years ago right here on this stage. and so, the new one has
1:52 am
sophisticated styling inside and out. it has . it is more fuel-efficient. and it has technology to make the customer's life easier. it is important for our growth around the world. our market share has been growing. it a group more than one point last year. this is important in europe and around the world worried -- world. >> let's talk about this a little more. future, am i going to be driving and android car, or i will will pick my car based on the operating system? >> that is the beauty of our strategy. we introduced sink on them -- s in 2009.he first model it is good that we are here introducing it again. synch system you can or and ios apple phone
1:53 am
>> welcome back. >> let's cut to the chase, it is newspapers time. standby.lliott on we have david on standby. android. whatever the customer wants, we will be old to give them. >> what about the contract purchases? some people saying that the financing packages available have been a key driver here. any plans to roll that out across europe? do you see changes in financing thatno huge surprise prime minister netanyahu's meeting with president obama yesterday. obama telling netanyahu that now is the time for tough decisions. the jerusalem post, a similar picture. options, and what kind of a boost you see for that? part of itg is a big when a consumer is making a decision. the most important part is having a compelling product grid a product that they want to see in the driveway. that their neighbors will come on and say, wow, that is the new board. -- ford. >> new fuel economy, safety, and design. onare going to keep focused bringing out very compelling
1:54 am
israel's doing its part, the palestinian authority is not. this is a more left-leaning putsal newspaper, obama onus of peace process on netanyahu. he will be speaking before the main pro-israel lobbying group before flying to allay. -- to los angeles. products, from the standpoint of design. >> financing does play a part. it is very important to have a compelling product grid -- product. they say, i like the product, but how can i buy it? thealk to me about situation it ukraine and russia and what that will me to your bottom line. what kind of exposure do you have? >> it is too early to tell. >> david, all yours. because i'm at the intercontinental, i thought i would go for an international newspaper. i have the international new york times. the first time is dominated i russia and crimea and the reaction. but there is this little article down here. earthlychaplains offer assistance and it is all about those chaplains in chapels you we are clearly watching the developments around the situation there. hopefully, it will and peasley. things will have to play out. we do not know what will or may not happen. >> do you plan for this kind of thing? upoverall, our whole process economy is to look at the business environment every week intensively. that allows us to be very proactive. we have a good business in russia. we were great partner. we're going to have to see how things play out.
1:55 am
see in airports and sometimes walked past and ignore. they have done a very nice article about the sorts of people who go there. what is available? heathrow, 190,000 passengers go through heathrow every day. there are seven full-time chaplains serving five terminals. read christian denominations slumpuddhist, hindu, jew we focus on the market long term. clearly, there are issues and in the short term. we will take appropriate actions to keep moving forward. it is a good time for us and the overall industry. >> let's rock the conversation about their tight not fuel cells. they see that as the way forward here it -- forward. ish, muslim. >> thank you. >> i have a story about art. property very expensive part of london. some of the art dealers are worried they are being pushed out by some of the fashionistas. would do you think the next leap will be? elon musk is going one line. word is ford cia going? where are you spending your money? industry. great everybody is a point of view on what is going to happen. our point of view is to be prepared to give customers the power of choice. you have to know whether they want petrol and uses, whether they want hybrids, whether they want hybrids or full battery vehicles.
1:56 am
are blaming some of the large multinational fashion houses for pushing out -- pushing up rents. some of the art dealers have been there for 200 years. the story of the last 24 hours. we cannot get enough of this. >> how annoyed which you see if you were an official photographer at this event? forre there were offerings them. we are working longer term until cells. our approach is to give them the choice and have the manufacturing flexibility to go wherever the market goes. i think we're covering the waterfront in giving customers the choice. >> great to see you. thank you for your time. of ford.0 of -- coo >> live at the geneva motor show. on the move is up next. >> luckiest person in the world has to be this man. where are you? the brother of the winner of the best supporting actress. the unluckiest person in the world is liza minnelli. we will do one in -- one as well contribute. >> we are not shy of jumping on the motor shows coming up. >> the hotel sector in berlin. >> big interviews for you. the brazil tourism industry official. the country's preparation to the world cup. 100 days of the world cup grade -- cup. >> we will see you tomorrow. ♪
1:57 am
a bandwagon. that is the first hour of countdown. ♪ .
1:58 am
1:59 am
2:00 am
>> welcome to "on the move." and i am francine lacqua.him himhim sink or so. >> we are seeing the reversal. talk to me about the little
2:01 am
corporal. >> is a beast of a mining company. into taken into back focus. it rises by 20%. he struck out all of the variation. it missed estimates. indeedare a shareholder, eight percent of the company. 100 $82 million from $173 million stop by to keep track with the russian billionaires under presse.
2:02 am
2:03 am
2:04 am
2:05 am
2:06 am
2:07 am
2:08 am
2:09 am
2:10 am
2:11 am
2:12 am
2:13 am
2:14 am
2:15 am
2:16 am
2:17 am
2:18 am
2:19 am
2:20 am
2:21 am
2:22 am
2:23 am
2:24 am
2:25 am
2:26 am
2:27 am
2:28 am
2:29 am
2:30 am
2:31 am
2:32 am
2:33 am
2:34 am
2:35 am
2:36 am
2:37 am
2:38 am
2:39 am
2:40 am
2:41 am
2:42 am
2:43 am
2:44 am
2:45 am
2:46 am
2:47 am
2:48 am
2:49 am
2:50 am
2:51 am
2:52 am
2:53 am
2:54 am
2:55 am
2:56 am
2:57 am
2:58 am
2:59 am
3:00 am

Bloomberg March 4, 2014 1:00am-3:00am EST

TOPIC FREQUENCY Russia 49, Us 29, Ukraine 27, Geneva 17, Europe 17, Crimea 11, China 8, Berlin 7, Barton 6, Imf 5, Brazil 5, The Geneva 5, London 5, Rolls-royce 4, Euros 4, Germany 4, John Kerry 3, Edwards 3, Moscow 3, Kiev 3
Network Bloomberg
Duration 02:00:58
Scanned in San Francisco, CA, USA
Source Comcast Cable
Tuner Channel v821
Video Codec mpeg2video
Audio Cocec ac3
Pixel width 1920
Pixel height 1080
Sponsor Internet Archive
Audio/Visual sound, color

disc Borrow a DVD of this show
info Stream Only
Uploaded by
TV Archive
on 3/4/2014